Domestic airlines have started to raise pilots’ pay as passenger traffic inches closer to pre-Covid levels
According to industry insiders, the Gulf-based carriers are attracting pilots as well as a more dynamic and open domestic aviation sector with new players.
“The industry is finally opening up after two years. Full capacities are being realised, new employment opportunities have risen again,” said a senior Commander with a leading India-based airline.
“Many airlines have increased salaries lately but not fully reverted back to the pre-Covid levels. Carriers in the Gulf know this. They are ready to hire on increment and even buyout the notice period, bear the cost of recertification, among other expenses.”
In addition, there is demand for pilots from the two new entrants, Akasa and Jet Airways, which are set to begin flight operations soon.
Notably, IndiGo, the largest player in terms of domestic market and fleet size, has announced an 8% pay increase for its pilots beginning this month.
If everything goes as planned, the airline plans to raise pilot pay by another 6.5 percent by November.
SpiceJet, another airline, has increased pilot pay by 10-15% for first officers and 20% for trainers.
“The last two weeks have shown promising numbers for passenger occupancy. Our passenger traffic seems to be on a slow and steady rise and if it continues, we should see it touching the pre-Covid levels very soon,” an airline’s communication to its pilots said.
Vistara’s Senior Vice President, Captain Hamish Maxwell, said in a recent communication to the airline’s pilots: “We are now seeing sustained improvement in domestic passenger demand, which has allowed us to markedly increase capacity in recent months.”
However, he cited that the current geopolitical tensions in Europe are a cause of significant concern and have already impacted operations.
He said that the price of oil is now at its highest since 2008 and the airline’s Europe flights have been rerouted to avoid areas of potential conflict, resulting in increased flight times.
“Despite the significant challenges that the industry is still facing, the management team and the Board are mindful of and thankful for the contribution from the crew. I’m pleased to announce that the monthly bonus component for eligible pilots will be reinstated from April 1, subject to the average active hours for the preceding month being at least 70.
“Moving forward, we will continue to review the state of the aviation industry and the financial health of the company, and will make necessary adjustments to cost measures as and when appropriate,” Maxwell said.
With many airlines planning to expand international operations and increase fleet size, India is expected to reach pre-Covid passenger traffic levels in the near future.